REPUBLIC OF THE PHILIPPINES
DEPARTMENT OF FINANCE
BUREAU OF INTERNAL REVENUE
December 12, 2003
REVENUE REGULATIONS NO.
Amending Further Pertinent Provisions of Revenue Regulations No. 2-
98, as Last Amended by Revenue Regulations No. 17-2003, and
Revenue Regulations No. 8-98, as Amended, Providing for the
Imposition of Final Withholding Tax on the Sale, Exchange or Other
Disposition of Real Property Classified as Capital Assets by Non-
resident Aliens, Increasing the Withholding Tax Rates on Certain
Income Payments, Inclusion of Certain Income Payments, Sanctions to
be Imposed on Payees Who Refuse the Withholding of Tax on Their
Income/Receipts, and for Other Purposes.
All Internal Revenue Officers, Employees and Others Concerned
Pursuant to the provisions of Section 244, in relation to
Sections 57(A) and (B) of the Tax Code of 1997, these regulations are hereby promulgated
to further amend portions of Revenue Regulations Nos. 2-98, as last amended by Revenue
Regulations No. 17-2003, and 8-98, as amended, providing for withholding as a mode of
remitting final capital gains tax on the sale of real property classified as capital assets by
non-resident aliens, increasing the withholding tax rates on certain income payments,
inclusion of non-food products in the coverage of expanded withholding tax, providing
sanctions to payees who refuse the withholding of tax on their income/receipts, and for
– Sec. 2.57.1 of Revenue Regulations No. 2-98, as amended, is
hereby further amended to read as follows:
Income Payments Subject to Final Withholding Tax
The following forms of income shall be subject to final withholding tax at
the rates herein specified.
Income payments to a citizen or to a resident alien individual.